NewsBTC
No Result
View All Result
  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play GamesTry
  • CasinosTry
Breaking News: Major Win For Memecoins: SEC Affirms They Typically Do Not Qualify As Securities
  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play GamesTry
  • CasinosTry
Bitcoin News
No Result
View All Result
Breaking News: Major Win For Memecoins: SEC Affirms They Typically Do Not Qualify As Securities

Regulatory Green Light: Coinbase Custody to Launch in New York State

Nick Chong
Nick Chong
6 years ago
3 mins read
Crypto

Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

In spite of Jeremy Allaire’s cries for the G20 to manage the crypto industry with global action, the startups backing this nascent industry have continued to rapidly gain regulatory traction in New York State, arguably the world’s foremost financial market.

New York Regulator Awards Coinbase With Custodian License

When it comes to financial capitals of the world, there isn’t any location that is as prominent as New York City, New York, which is where hundreds of institutional bigwigs are actively situated. Keeping this in mind, many were over the moon, so to speak, as Coinbase secured a license from the New York Department of Financial Services (NYDFS) on Tuesday afternoon.

Today, we’re proud to announce that Coinbase Custody has obtained a license under New York State Banking Law to operate as an independent Qualified Custodian. https://t.co/6uGZG0UzvF

— Coinbase 🛡️ (@coinbase) October 23, 2018

According to a press release from the NYDFS, which hasn’t been afraid to get involved in crypto in the past, the San Francisco-based startup can now lawfully launch Coinbase Custody Trust Company (CCTC), a subsidiary solely focused on offering crypto asset custodian solutions for clients. Coupled with this positive regulatory action, it was noted that CCTC will now be classified as a fiduciary under New York State’s banking laws, further solidifying the firm’s legitimacy in this emerging industry.

In tandem with the aforementioned announcement, the governmental agency’s Maria T. Vullo, the superintendent behind Coinbase’s shiny new license, also revealed the subsidiary can now offer custodial support for Bitcoin (BTC), Bitcoin Cash (BCH), Ethereum (ETH), Ethereum Classic (ETC), XRP, and Litecoin (LTC).

In a follow-up post issued by the company, Sam Mcingvale, a product lead at Coinbase’s custody branch, explained in layman what NYDFS’ approval means for the up and coming fintech firm. Mcingvale first reminded readers that Coinbase Custody is an “institutional-grade service” that has been optimized to secure millions of dollars in crypto assets.

Although the startup’s custody arm had seen success with its previously-limited product roster, with this new license and a growing sense of regulatory certainty, Mcingvale noted that Coinbase now has the authority to expand its horizons. The executive then added that Coinbase is now authorized to “compliantly store more assets and add new features like staking.”

Closing off his comments, the product lead pointed out that Coinbase’s recently-established New York State-based subsidiary is technically a “standalone, independently-capitalized business.” While this may be seen as harmful to Coinbase’s internal corporate structure, Mcingvale noted that CCTC independence should be seen as a positive sign for investors, as the subsidiary will “be held to the same compliance, security and capital requirements as traditional fiduciary custodial businesses.”

Galaxy Digital’s Novogratz: Crypto Custody To Usher In Institutional Investment

Coinbase isn’t alone in its move to offer custody to New York’s household institutions. Just last week, Boston-based Fidelity Investments revealed that it had formally entered the crypto market through the establishment of Fidelity Digital Asset Services (FDAS). Fidelity’s crypto offshoot, which is headed by Tom Jessop, is slated to offer top-of-the-line cryptocurrency custody for the firm’s 13,000 institutional clients.

Although moves from FDAS and Coinbase are both important, as alluded to by Mike Novogratz, CEO of Galaxy Digital, Fidelity’s custodial solution will likely impact this industry in a more meaningful manner. As reported by NewsBTC previously, the prominent investor claimed:

“One of the things that will get institutional investors involved in crypto is custody solutions… And Fidelity is coming out with a world-class custody solution that is aimed at institutions, so that’s a box that gets checked and [that is] something that gets taken [an institution’s] list.”

Still, it is important to note that the two aforementioned firms aren’t the only ones who have made strides in the custodian sub-industry. Novogratz’s Galaxy Digital, along with Wall Street giant Goldman Sachs, recently threw $15 million at Palo Alto-based BitGo to fund the startup’s ambition to create a “$1 trillion crypto wallet.”

While it isn’t clear which crypto custodian will take the lion’s share of institutional clients, competition in the ever-competitive cryptocurrency industry will likely parent some game-changing products in the near future.

Featured Image from Shutterstock
Tweet123Share196ShareSend
Nick Chong
Nick Chong

Nick Chong

I am a writer who has been following Bitcoin for years now. My insights and interviews have been featured in leading publications in the industry such as LongHash and Decrypt. I own a small amount of Bitcoin.

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

Related News

bitcoin

Bitcoin Slips Under 200-Day Moving Average – Will The Downtrend Continue?

Bitcoin (BTC) has dropped 11.3% over the past week, currently trading in the low $80,000 range at the time of...

Ash Tiwari 2 months ago
Ethereum

Ethereum Holds Strong For Over A Year: Monthly Close Below This Level Could Be Catastrophic

Ethereum has struggled to gain momentum, remaining stuck below critical resistance for over a year. Despite multiple attempts, the second-largest...

Scott Matherson 2 months ago
Bitcoin

Bitcoin Price Forecast: LTF Head And Shoulders Pattern Predicts Crash – Here’s The Target

Tony Severino, a prominent crypto analyst, has shared a new Bitcoin price forecast, suggesting that the pioneer cryptocurrency is on...

Scott Matherson 2 months ago
Load More

Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

Related News

bitcoin

Bitcoin To Bottom Around $70,000? Arthur Hayes Says Correction ‘Very Normal’ In A Bull Market

Ash Tiwari 1 week ago
Bitcoin

‘The Magic Line’: Key Support Level At $74,000 Determines Bitcoin Bull Or Bear Future

Ronaldo Marquez 2 months ago
Crypto

Economic Turmoil: Crypto Market Loses 25% Of Value As Recession Worries Mount

Ronaldo Marquez 2 months ago

Premium Partners

Top Brands

Press Releases

  • LimeChain

    LimeChain – Builders of Web3 Step into the FIA...

    2 months ago
  • Ripple XRP Investors Making $13,000 Per Day with This Cloud...

    3 months ago
  • How To Make $99k Daily Despite Crypto Market Fluctuations...

    3 months ago
  • EstateX Sells Out the First Tokenized Property in Under...

    3 months ago
  • BlackFort Exchange Network (BXN) Joins Biconomy.com...

    3 months ago

Newsletter

Be the first to get the latest important crypto news & events to your inbox.

  • This field is for validation purposes and should be left unchanged.

About Us

NewsBTC is a cryptocurrency news service that covers bitcoin news today, technical analysis & forecasts for bitcoin price and other altcoins. Here at NewsBTC, we are dedicated to enlightening everyone about bitcoin and other cryptocurrencies.

We cover BTC news related to bitcoin exchanges, bitcoin mining and price forecasts for various cryptocurrencies.

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

Company

  • About Us
  • Advertising
  • Contact Us
  • Privacy Center

Social

© 2025 NewsBTC. All Rights Reserved.

  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play Games
  • Casinos
Advertise

© 2025 NewsBTC. All Rights Reserved.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy Center or Cookie Policy.